PREPARED BY: LIBBY TYLER DATE OF MEETING: 11/17/2025
SUBJECT:
TITLE
CONSIDER AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN PABLO AMENDING THE SAN PABLO MUNICIPAL CODE (TITLE 17 - ZONING ORDINANCE), CHAPTER 17.60, SPECIAL RESIDENTIAL USES, SECTION 17.60.070, ACCESSORY DWELLING UNITS, TO ALLOW THE SALE OF ACCESSORY DWELLING UNITS (ADUS) AS CONDOMINIUMS, AS AUTHORIZED BY ASSEMBLY BILL 1033 AND PURSUANT TO 2025-2027 CITY COUNCIL PRIORITY WORKPLAN POLICY 301.4
CEQA: This amendment to the ADU portion of the Zoning Ordinance is statutorily exempt from the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21080.17, which exempts the adoption of accessory dwelling unit ordinances. Additionally, the ordinance would be categorically exempt from the provisions of CEQA, in accordance with Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no potential for causing a significant effect on the environment because it consists of minor changes to land use regulations that do not, on their own, impact the environment. Any projects proposed pursuant to the changes proposed would be separately evaluated for their environmental impacts.
Label
CITY MANAGER RECOMMENDATION
Recommendation
Conduct public hearing; waive first reading; introduce Ordinance
Body
Compliance statements
FY 2025-2027 Council Priority Workplan Compliance Statement:
This amendment to the San Pablo Zoning Code Section 17.60.070, Accessory Dwelling Units, to allow the sale of Accessory Dwelling Units (ADUs) as Condominiums, as authorized by Assembly Bill 1033, is consistent with the City Council Priority Workplan Major Policy Area of Expand Housing Options and helps to implement Policy 301.4, related to the increase of home ownership opportunities for legally permitted ADUs within City Limits, as adopted on October 7, 2024 by City Council Resolution 2024-127.
CEQA Compliance Statement
This amendment to the ADU portion of the Zoning Ordinance is statutorily exempt from the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21080.17, which exempts the adoption of accessory dwelling unit ordinances. Additionally, the ordinance would be categorically exempt from the provisions of CEQA, in accordance with Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no potential for causing a significant effect on the environment because it consists of minor changes to land use regulations that do not, on their own, impact the environment. Any projects proposed pursuant to the changes proposed would be separately evaluated for their environmental impacts.
PUBLIC HEARING NOTICE
A Public Hearing Notice was published in the West County Times (West Contra Costa edition of the East Bay Times) newspaper on Tuesday, October 28, 2025.
BACKGROUND
Among the State Laws pertaining to ADUs in 2024 was Assembly Bill 1033 (Ting) which was approved by the Governor on October 11, 2023, and became effective on January 1, 2024. This Bill allows for the sale of ADUs in California through the removal of the state-level restriction on selling ADUs. Previously, an ADU could only be sold separately from the main residence in very limited circumstances, such as development by a qualified nonprofit. AB 1033 authorized local governments to allow for the separate sale of any ADU as condominium units, without these previous restrictions. The language of the Bill is incorporated into Section 66342 of the California Government Code.
A relatively small number of cities have since adopted provisions allowing the sale of ADUs as condominiums, including the City of San Jose (which was the first to adopt an Ordinance in June 2024), City of Santa Cruz, City of Santa Monica, City of San Francisco, and City of Martinez. The City of San Jose issued a news release on August 14, 2025, that it had approved the first ADU condominium in California pursuant to AB 1033.
Recognizing AB 1033 as a means of allowing residents to build home equity at a smaller, more affordable scale, the City of San Pablo adopted Resolution 2024-127 on October 7, 2024 to update the City of San Pablo City Priority Workplan by adding the following policy to the Major Policy Area of Expand Housing Options:
301.4 Explore the Feasibility to: (1) Expand Financial Assistance Program(s) Available to Qualified, Local Residents (With Appropriate Funding Source Identified) that Potentially Increases Home Ownership Opportunities for Legally, Permitted Accessory Dwelling Units (ADUs) within City Limits, and (2) Conduct Further Legal Analysis and Operational Study on Substantial Compliance with SB9 Regulatory Requirements for Applicable Residential Zones Within the City.
This policy was included in the FY2025-27 City of San Pablo City Council Priority Workplan, adopted and effective on April 7, 2025, by Resolution 2025-044. An update on progress implementing this goal was presented to the Economic Development, Housing, and Project Management Standing Committee meeting on May 29, 2025. At this meeting, staff addressed the City’s successful accommodation of SB9 applications and approvals, showing that there has been moderate interest in the use of SB9 duplexes and lot splits, but that ADUs have been far more utilized in San Pablo and now constitute a significant component of our annual RHNA compliance. For example, in 2024, the City permitted 42 residential units, including 29 ADUs, 2 Junior ADUs and 12 new single-family homes.
The proposed Ordinance would address the first part of Policy 301.4 by introducing an amendment to the San Pablo Zoning Ordinance to allow for the sale of ADUs as condominiums, as allowed by AB 1033. In preparing this amendment, the City relied upon an implementation guideline prepared by the Casita Coalition (a housing advocacy organization that promotes diverse housing solutions), the required text contained in Government Code Section 65852.2(a)(10), and the City of Santa Monica Ordinance as a model.
SUMMARY OF CHANGES
This is a City-initiated text amendment to Chapter 17.60.060, Accessory Dwelling Units, to allow for the potential for the sale of individual ADUs in San Pablo as condominiums, as authorized by Assembly Bill 1033, and supported by City Council Priority Workplan Policy 301.4. The proposed amendment includes the following changes:
1. Deletion of Section 17.60.070.E.2, Location, which prohibits the location of an ADU on a separate lot from the primary dwelling.
2. Amendment to Section 17.60.070.H, Occupancy limits, to add a provision that an ADU is not subject to an owner-occupancy requirement.
3. Deletion of Section 17.60.070.I.4 Deed Restrictions, to remove the listed limitations on sale of an ADU separate from the primary residence [Note that this amendment is in addition to the amendments to this section contained within a separate proposed omnibus zoning ordinance amendment Planning Case 2507-0002, which includes the removal of deed restrictions for ADUs for compliance with State law]
4. The addition of a new Section 17.60.070.J, detailing the provisions for separate sale; and
5. The addition of a new Section 17.60.070.K, Accessory Dwelling Unit Condominiums, which specifies the purpose and procedures for the separate sale or conveyance of ADUs as condominiums and identifies ADU condominium requirements.
GENERAL PLAN COMPLIANCE
The proposed ordinance is consistent with the following General Plan policies and implementation strategies:
LU-G-1: Promote a sustainable, balanced land use pattern that responds to existing and future needs of the City, as well as physical constraints.
LU-G-2: Ensure planned land uses are compatible with existing uses and provide for appropriate transitions or buffers for new uses, as needed.
LU-I-3: Ensure that land use development occurs in an orderly fashion and in pace with the expansion of public services and utilities.
LU-G-5: Promote a variety of housing types and prices within neighborhoods to serve the needs of all economic segments of the community.
LU-I-12: Allow for a range of residential development intensities throughout the community to cultivate a mix of housing types at varying sales price points and rental rates, provide options for residents at all income levels, and protect existing residents from displacement.
LU-I-13: Promote the development of a greater variety of housing types and sizes in existing neighborhoods to meet the needs of future demographics and changing household sizes, including single-family homes on small lots; accessory dwelling units; alley-facing units; townhomes; live-work spaces; duplexes; triplexes; fourplexes; bungalow courts; and senior and student housing.
LU-I-21: Support residential infill on vacant and underused lots within existing neighborhoods.
The proposed ordinance is also consistent with the following Housing Element goals and policies:
Housing Element Goal #1: Increase housing supply and facilitate production of at least 800 new homes by 2031.
Housing Element Policy 1-2: Promote development of a variety of housing types, sizes, and densities that meet community needs based on the suitability of the land, including the availability of infrastructure, the provision of adequate services and recognition of environmental constraints.
Housing Element Policy 1-3: Identify and work to reduce or remove regulatory and process-related barriers to housing development in San Pablo.
Housing Element Policy 1-5: Continue to encourage the provision of a variety of housing choices and types in the community, including innovative forms of housing.
Housing Element Goal #2: Take action to address affordability and housing security for all income groups and family types in San Pablo.
The proposed amendment would implement policies and programs of the 2023-31 Housing Element, helping to promote increased housing development across all levels of affordability and expand the range of housing options available in San Pablo, by allowing for a new type of housing option in ADU condominiums.
ZONING ORDINANCE COMPLIANCE:
The proposed amendment is consistent with the purposes of the Zoning Ordinance:
Pursuant to Zoning Ordinance Section 17.01.020, “Purpose,” the purpose of the ordinance is to promote growth of the city in an orderly manner and to promote and protect the public health, safety, peace, comfort, and general welfare in conformance with the general plan. In addition, pursuant to Zoning Ordinance Section 17.32.010, Purpose, the ordinance helps to produce healthy, safe, and attractive neighborhoods in San Pablo, consistent with the policy direction in the San Pablo general plan.
The proposed amendment would ensure that a new type of housing option in the form of ADU condominiums could be built in an orderly and effective manner, consistent with the purposes of the Zoning Ordinance.
PLANNING COMMISSION RECOMMENDATION
The San Pablo Planning Commission held a duly noticed public hearing on the proposed amendments at its regular meeting on October 28, 2025, and approved PC25-16, by a vote of 4 ayes and 1 absent, recommending adoption of the proposed Ordinance by the City Council.
CONCLUSION
Staff recommend that the City Council review the proposed zoning ordinance amendment, take public testimony, and introduce the attached ordinance amending the Zoning Ordinance
amending the San Pablo Municipal Code (Title 17 - Zoning Ordinance), Chapter 17.60, Special residential Uses, Section 17.60.070, Accessory Dwelling Units, to allow the sale of Accessory Dwelling Units (ADUs) as condominiums, as Authorized by Assembly Bill 1033 and pursuant to 2025-2027 City Council Priority Workplan Policy 301.4.
The Proposed City Council Ordinance (Attachment A) incorporates the recommended amendments to the Zoning Ordinance, highlighting the changes to the existing text of Section 17.60.070 by means of strikeouts and underlines.
FISCAL IMPACT
The proposed City Council Ordinance would not have an immediate direct fiscal impact upon the City but would introduce a new housing development and acquisition option that has not previously existed, which could benefit the City in terms of future property tax revenue.
ATTACHMENTS:
A. Proposed City Council Ordinance
B. Resolution PC25-16 recommending approval of the Zoning Ordinance Text Amendment to the City Council
C. Resolution 2024-127
D. Proof of Publication